Judgment :-

R.V. Raveendran J.

Leave granted.

2. The appellant, the owner of a plot measuring about 11000 sq.ft. situated at Bhopal, entered into a Joint Venture Agreement dated 2.7.2004 with the first respondent for development of the said plot by construction and sale of nine duplex flats. Under the said agreement, the appellant was to provide his land to the first respondent for construction of flats; the first respondent was responsible for the construction and sale of the duplex flats; and out of the sale proceeds realized by sale of the flats, the appellant was entitled to 45% and the first respondent was entitled to the balance of 55%. The first respondent was authorized to enter into agreements of sale with prospective purchasers of flats even at the stage of construction and receive the price either in a lump sum or in instalments. The first respondent was solely responsible for completion of construction and the quality of construction. According to the appellant, his obligation under the joint venture agreement was only to contribute the land and in consideration thereof receive 45% of sale proceeds.

3. In pursuance of it, the appellant and first respondent entered into a